5 Bullish Signs From David Rosenberg

Here are some bullish insights from an unlikely source – David
Rosenberg:

“First, sentiment has come down from recent lofty levels.
That is encouraging.

Second, earnings estimates have stopped going down. That is
good news.

Third, while the Fed will likely taper off, it will still be
providing substantial liquidity to the marketplace.

Fourth, as Kopin Tan explains in Barron’s, pension fund assets
exposed to equities has come all the way down to 35%. And
68% of fund managers are behind their benchmarks year-to-date.

Fifth, the economy seems to have endured the most intense part of
the federal fiscal tightening phase in the first two quarters of
the year.

Now, I wouldn’t say that I’m a bull. That’s going too far.
But I am saying that 45% exposure in the asset mix devoted
to high-quality stocks is prudent – which is exactly where we are
in the aggregate.”